What’s a Cloud Kitchen and Should You Open One?

Cloud Kitchens have become a popular business model since the pandemic, but is it a good venture to get into? Here's what you need to know.

Open your favorite food delivery app and, chances are, you’re going to find a cloud kitchen or two among your list of options. One of the food and business trends that became more known, thanks to the COVID-19 pandemic, cloud kitchens became so popular that its global market size was estimated at a whopping $56.71 billion (approximately PHP 3.096 trillion) in 2021.

But that's not all. This number is expected to grow in the next few years—specifically, by 2027, as the global market size of cloud kitchens is estimated at $112.53 billion (approximately PHP 6.14 trillion). Simply put, these staggering numbers show that there is a lot of potential and opportunity in cloud kitchens.

But what exactly are cloud kitchens? Is it a good fit for your brand? We list everything there is to know and what you'll need to start your own.

What is a Cloud Kitchen?

A cloud kitchen—otherwise known as a virtual kitchen or ghost kitchen—isn’t your typical dine-in restaurant. You can’t even dine in one, to begin with.